Petrol Pete
Hardcore MB Enthusiast
Yes, he is their favourite customer. Thats why he get's such a discount
Anyone else had a large motor insurance rise
- Thread starter Harrythedog
- Start date
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OP
OP
That’s the reason I posted the question. In this day and age you never know if the big boys are operating an unofficial price fixing policy
I find it incredible that people are unaware of this universal behaviour by all companies or that it requires any comment whatsoever (hence post 10). What it requires is people to stop grousing & start comparison site shopping!
This topic comes up about once a month here & is covered about as often on MSE's website & a gazillion others. This has been standard industry practise across ALL utility, insurance, phone, break down cover companies, in fact any service or product that you can renew, for at least the last decade. My cat is aware of this. It's not going to change, just accept that for anything you renew you need to shop around & get on with it.
Adrian flux
This topic comes up about once a month here & is covered about as often on MSE's website & a gazillion others. This has been standard industry practise across ALL utility, insurance, phone, break down cover companies, in fact any service or product that you can renew, for at least the last decade. My cat is aware of this. It's not going to change, just accept that for anything you renew you need to shop around & get on with it.
Adrian flux
renault12ts
MB Club Veteran
- Joined
- Mar 5, 2009
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- Car
- 2005 W215 CL500.
Best to say nothing, accept the situation and shop around.
The lazy customers are the ones who allow the rest of us to get a reduction when we shop around. As soon as the regulators get involved...costs will rise for all of us. So keep bleating on like sheep...and we will all lose, not just those who deserve it.
The lazy customers are the ones who allow the rest of us to get a reduction when we shop around. As soon as the regulators get involved...costs will rise for all of us. So keep bleating on like sheep...and we will all lose, not just those who deserve it.
grober
MB Master
Two reasons the "industry" has given for increased costs are the increased level of car thefts down to keyless go technology and reduced levels of policing. The second is the increasing complexity of cars and difficulty of repair has meant more cars are being written off with relatively minor damage.
Justintyme
Active Member
Two reasons the "industry" has given for increased costs are the increased level of car thefts down to keyless go technology and reduced levels of policing. The second is the increasing complexity of cars and difficulty of repair has meant more cars are being written off with relatively minor damage.
And last but definitely not least:- Increased PROFIT !!!!!
chrisk2010
MB Enthusiast
My renewal went up as always but managed to save £80 and get all the boxes ticked in terms of cover last year.
When looking the time of day affects the price as it's more expensive in the evening than it is at the crack of dawn the time of day saved me another £30 .. go figure!
When looking the time of day affects the price as it's more expensive in the evening than it is at the crack of dawn the time of day saved me another £30 .. go figure!
400ixl
MB Enthusiast
More like trying to get to profit for many of them on the General Insurance business. Do you actually know what profit margins are on GI business (typically between -10% and 7%)?
The economy and in particular the performance of the stock market makes a big difference to GI insurance. Which is why policy prices often align to the 7 year cycles of the stock markets. Insurers take the policy money and invest it for the period they have fore they have to pay it out in a claim. This is a short cycle and means that the markets heavily effect the money they make and if the market is not performing then they have to increase the policy prices, if it is performing it helps to reduce them. They don't have the luxury of time that the life / endowment / property sides of the business have and where the majority of the profits are made.
Personally I don't mind the model, its the same as most utilities. I'd rather be the proactive one and seek out the best prices, leaving those who can't be bothered to pay a premium. If that model were scrapped the lazy would become better off and the proactive would end up paying more.
D
Deleted member 149005
Guest
I’m surprised the margins are that high. When I worked in insurance, the claims ratio averaged 105% of premium income - it was only the investment performance that generated a + return. If the stock market fell...
That insurance company no longer exists...
400ixl
MB Enthusiast
Yep, the best of the best make a maximum of around 7%, but they are the minority., and that is when the stock markets are doing well. Many of even the big players are in the negative for GI which is propped up by the other businesses as it generates cross selling for them. This is why the prices to fluctuate year on year, alongside other factors of course as have been mentioned such as rise and fall of car thefts.
My renewal just arrived yesterday, it’s up 11% so I think it’s time I made a change but I’ll get a comparison first before “speaking” with my current provider.